C) A homebuyer approached the bank for a home loan of RO 87,000. The bank has approved the loan application for a 30-year fixed-rate loan at 7% annual interest. If the client makes a 25 % down payment, calculate; what is the monthly payment? How much will be total payment?

Q: In one instance, a financial institution loaned you $20,000 for two years at an apr of 4.75% for…

A: Interest refers to the cost of borrowing money from the lender.

Q: If you buy a computer directly from the manufacturer for $2,546 and agree to repay it in 48 equal…

A: Here we will have to find the amount of monthly installments and the total interest paid. Note that…

Q: Suppose you lend ​$11,500 to a friend at an APR of 10.00​%. Your friend will pay you back beginning…

A: The periodic payment can be made monthly, quarterly, semi-annually or annually. Periodic payment is…

Q: An institutional lender is willing to make a loan for $1 million on an office building at a 6…

A: Hi, there, Thanks for posting the question. As per our Q&A honour code, we must answer the first…

Q: Assuming that the dealership offers you 5-year loan at 4.7% compounded monthly, what payments would…

A: The question is based on the concept of Annuity in Financial Management. Annuity refers to the…

Q: Suppose you purchase a home and obtain a 15-year fixed-rate loan of $195,000 at an annual interest…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: You are offered an add-on loan for $4,500 at 18% for 5 years. What is the monthly payment? What is…

A: Hello, I am only answering first question as per the policy and if you want others to be answered…

Q: You needed $10,000 and obtained the following loan: Loan specifics: You are expected to pay 24 equal…

A:

Q: Suppose you obtain a 30-year mortgage loan of $196,000 at an annual interest rate of 7.9%. The…

A: To find the monthly payment for the mortgage, Property tax and fire insurance for 30 year loan of…

Q: A lender requires PMI that is 0.8% of the loan amount of $460,000. How much (in dollars) will this…

A: Given information: Loan amount is $460,000 PMI requires 0.8% of loan amount

Q: You want to buy a car, and a local bank will lend you $35,000. The loan will be fully amortized over…

A: An effective annual rate (EAR) is the actual rate of interest to be paid annually after taking…

Q: Your business requests a 3-month loan for $450,000. What will be the interest paid at the end of the…

A: A loan is a type of debt that a person or another entity assumes. The lender, which is often a…

Q: A customer of your bank comes for a car loan 10000 OMR. He is charged with an interest rate of 5%…

A: Fixed monthly payment =P× r ×(1+r)n(1+r)n-1 Where : P = Loan amount r = monthly rate of interest n =…

Q: A customer of your bank comes for a car loan 10000 OMR. He is charged with an interest rate of 5%…

A: Given Information : Amount of loan : 10,000 OMR Interest rate : 5% annual Tenure : 12 months

Q: You plan to borrow $10,000 from the bank. For a four-year loan, the bank requires annual end-of-year…

A: Present value is the sum of money that must be invested to achieve a specific future goal. Future…

Q: Your business requests a 3-month loan for $550,000. What will be the interest paid at the end of the…

A: LIBOR rate is taken into consideration for calculating interest as it covers all risks associated…

Q: Solve Problem 20.11 using Excel.

A: Loans refer to the amount that is borrowed on credit by the individual or the company from the banks…

Q: If you buy a computer directly from the manufacturer for $2,509 and agree to repay it in 60 equal…

A: This is the case of present value of annuity. Annuity is equal stream of cashflow at regular…

Q: A local finance company will loan $15,000 to a homeowner. It is to be repaid in 36 monthly payments…

A: Loan Amount (Present Value) = 15,000 Future Value = 0 (Loan repaid in monthly installments with no…

Q: What effective annual interest rate are yo being charged

A: Information Provided: Face amount = $2000 Interest amount = 14% Compensating balance = 20%

Q: Suppose you obtain a 20-year mortgage loan of $194,000 at an annual interest rate of 8.2%. The…

A: Periodic Payments (PMT) refers to the amount need to de deposits regularly ( Yearly, Quarterly,…

Q: You want to buy a car, and a local bank will lend you $35,000. The loan will be fully amortized over…

A: Loan amount is the amount borrowed from the financial institutions such as banks, corporate houses,…

Q: Gizmonic Institute Corp. needs to take out a one-year bank loan of $400,000 and has been offered…

A: Bank loan = $400,000 Simple interest rate = 9% Add on interest rate = 6%…

Q: You want to buy a car, and a local bank will lend you $15,000. The loan will be fully amortized over…

A: Time value of money (TVM) refers to the concept which proves that the value of money today is higher…

Q: A customer of your bank comes for a car loan 10000 OMR. He is charged with an interest rate of 5%…

A: Formulas:

Q: Suppose you take out a 36-month installment loan to finance a delivery van for $26,100. The payments…

A: The loan amount is $26,100 The monthly payment is $989 The total finance charge is $9,504 The loan…

Q: PLEASE DO THE FOLLOWING ON AN EXCEL SPREADSHEET: Consider a loan of $1,000,000 with the nominal…

A: Given information : Loan amount $1,000,000 Annual interest rate 10% Time period (years) 15…

Q: Prescott Bank offers you a five-year loan for $54,000 at an annual interest rate of 7.5 percent.…

A: The annual loan payment is the regular installment of the total loan, which repays at a regular…

Q: A homebuyer wishes to take out a mortgage of $200,000 for a 40-year period. What monthly payment is…

A: Mortgage loan=$200,000 Time period=40 years Interest rate=11% We can calculate the monthly payment…

Q: Suppose you purchase a car for a total price of $21,750, including taxes and license fee, and…

A: Part A and B:Calculation of Monthly Payment and Total Interest Paid:The monthly payment is $317.74…

Q: A bank offers a home buyer a 25-year loan at 7% per year. If the home buyer borrows $150,000 from…

A: A study that proves that the future worth of the money is lower than its current value due to…

Q: Suppose you purchase a car for a total price of $24,790 including taxes and licensee and finance…

A: To find the monthly payment, we will use the present value of annuity formula and adjust it to find…

Q: Someone is borrowing from a five-six ( Bumbay ) money lender. How much will   be charged if you want…

A: Interest is referred to as the monetary charge which is to be paid to the moneylender on the…

Q: A college student receives an interest free loan of $8250 from a relative. The student will repay…

A: Amount remaining to be paid is given by: Amount remaining to be paid = Actual amount - Amount paid…

Q: A borrower had a loan of $70,000.00 at 6% compounded annually, with 8 annual payments. Suppose the…

A: The question is based on the concept of Loan & Amortization.

Q: Suppose you take out a 36-month installment loan to finance a delivery van for $26,100. The payments…

A: 1.Amount of Loan pay off is $7975 2.Amount of Finance Charges rebate is $2882   Calculations :-…

Q: How much is your monthly payment? use monthly compunding formula

A: Answer:

Q: annual loan payment

A: Annual Loan Payment: Annual loan payment is the amount to be paid in a year on the loan taken.…

Q: You want to buy a $120,000 house, and you apply for a mortgage loan. The bank requires a 20% down…

A: Monthly Payment refers to the payment that is to be paid monthly for a specific period of time to…

Q: (1) A 5-year auto loan for $20,000 has monthly payments at an 8% nominal annual rate. If the…

A: Annual percentage rate (APR) refers to the annual interest rate charged to borrowers or investors.…

Q: Suppose you take out a 36-month installment loan to finance a delivery van for $26,100. The payments…

A: A loan is a sort of debt that is taken on by an individual or another institution. The lender, which…

Q: If you buy a computer directly from the manufacturer for $2,241 and agree to repay it in 48equal…

A: Using Excel PMT function.

Q: Suppose you take out a 36-month installment loan to finance a delivery van for $26,100. The payments…

A: Loan payoff will be the closing balance at the end of 25 months

Q: You take out a 4-year, $3,750 loan at 8% simple annual interest. The lender charges you a $150 fee.…

A: Definition: Interest: Fee charged on the borrowed amount.

Q: Suppose you obtain a 20-year mortgage loan of $193,000 at an annual interest rate of 8.4%. The…

A: Given Information in the question:- PV (present value) = $193,000 Rate = 8.4% Time (N) = 20 year…

Q: You have accepted a loan in an amount of $15,000 for your new car. You have agreed to pay the loan…

A: Here, Loan Amount is $15,000 Time Period is 4 years Interest Rate is : 9% 6% 7% 8% Compounding…

Q: Your business requests a 3-month loan for $450,000. What will be the interest paid at the end of the…

A: Loan Amount = $ 450,000 Business Risk = 2.0% LIBOR = 1.8%

Q: Suppose you obtain a 30-year mortgage loan of 194,000$ at an annual interest rate of 8.4%. The…

A: EMI or monthly mortgage payments are the fixed amount paid by the borrower to the lender that…